Congresswoman Kathy Castor released the following statement today regarding the passage of landmark, comprehensive, consumer-friendly financial reform legislation:

“Under this legislation, consumers and middle-class families win and the big Wall Street banks lose. This historic financial reform legislation will enable us to finally fight Wall Street greed and avoid creating another economic crisis. It will rein in big banks, put an end to taxpayer bailouts and create a new Consumer Financial Protection agency to protect consumers rather than the big banks.

“The Wall Street reform bill is the toughest regulation of Wall Street in generations and comes after years of recklessness that led to the financial meltdown and the deepest recession in our lifetime. For the past several years, big banks have taken unfair advantage of hard-working homeowners throughout Florida and the United States, charging exorbitant fees, misleading folks taking out mortgages and being reckless with our money.

“Large financial institutions will no longer be bailed out by taxpayers because they are considered too big to fail. I voted against the Wall Street bailout – TARP – in 2008 because it did not address the root causes of the economic crisis or provide enough accountability. It gave too much money and attention to help Wall Street rather than the hard-working, middle-class families across America and the Tampa Bay area.

“Our legislation today represents a huge, historic shift in focus: Middle-class families, small business owners and consumers win, and the big Wall Street banks lose. Taxpayers will never again be left on the hook for Wall Street’s reckless actions.

“The most significant piece of this legislation is the consumer protections. We are creating a new, independent Consumer Financial Protection Agency that is dedicated to protecting homeowners and small businesses, not Wall Street banks. There always seems to be hidden charges and fees sprung on consumers at the last minute during a transaction, from a credit card transaction to taking out a mortgage. The new consumer agency will root out these deceptive practices. I will always fight for stricter regulations on the financial institutions that provide mortgages and credit cards. 

“We are targeting predatory, risky lending practices, offering direct help to our neighbors and outlawing predatory lending practices. Home loan lenders must ensure borrowers can repay the loans they are sold. Not doing that is in large part what led to the mortgage housing crisis in Florida. It will no longer be as easy to get mortgages, and consumers will have a clearer understanding of credit cards, debit cards and mortgages.

“We will have new cops on the beat – on Wall Street – and more enforcement, transparency and oversight. We are creating a new oversight authority to ensure that mega-financial companies do not become so large that their risky behavior threatens the economy. We are restoring responsibility and accountability to Wall Street and reining in the irresponsible behavior that led to the financial meltdown.

“The Wall Street reform bill is the toughest regulation of Wall Street in generations and provides a new foundation for our economy to grow – one that will inspire confidence and spur new jobs.”